Project Report &

CMA Data

M/s Grade Line Agro

Executive Summary
Business Details

Name of Business Firm M/s Grade Line Agro

Business Industry Manufacturing

Nature of Business Wheat Processing Unit

Legal Constitution Proprietorship

Address 91, 92 labh Estate, Narsinhpura-382715, Ta-
Kadi Narsinhpura

Pin Code 382715

Contact Phone 9574005605

Project & Loan Details

Fixed Capital to be Invested ₹ 3,001,330

Working Capital to be Invested ₹0
Total Project Cost ₹ 3,001,330

Term Loan ₹ 2,459,475

Working Capital Loan ₹0
Total Loan Amount Needed ₹ 2,459,475

Loan Duration 5 Years

Moratorium Period 1 months
Type of Loan Needed MSME Loan
Average DSCR 3.19

Subsidy Scheme Opted for PMFME (MOFPI)

Subsidy Amount to be received ₹ 1,000,000
Project Details

Cost of Project ₹ 3,001,330

Project Cost BreakUp

Machinery & Equipments ₹ 3,001,330

Means & Cost of Finance

Source Share Amount Interest Rate
Own Capital 18% ₹ 541,855 N/A
Loan from Friends & Family 0% ₹0 N/A
Total Own Funds 18% ₹ 541,855
Term Loan 82% ₹ 2,459,475 10.75%
Working Capital limit 0% ₹0 10.75%
Total 100% ₹ 3,001,330

₹0
Promoter's Details
Mr Sachinkumar Prakashbhai Patel is the founder/promoter of the Business Firm. The Promoter has
done an indepth study of the Project's feasibility and has the relevent experience to successfully
implement the Project. The Promoter is confident about the market potential of their Project and they
are capable to overcome competition & make sales as provided in the financial projections of this
Report

Promoter Name Mr Sachinkumar Prakashbhai Patel

Gender Male
Educational Qualifications Post Graduate
Work Experience less than 1 year
Address 13, Patel Vas Pase, Kamlapur, At Sadra, Ta Kadi-
382715

Contact Phone 9574005605

Mr. Sachinkumar Patel is a seasoned professional with an extensive background in engineering and
machine operations, particularly within the flour milling and agricultural processing sectors. With a
solid foundation in engineering, Mr. Patel possesses a deep understanding of machinery design,
functionality, and optimization, making him a key figure in the advancement of modern agricultural
processes.
His experience spans over several years, during which he has developed a specialized expertise in the
operation, maintenance, and management of complex machinery. Mr. Patel’s proficiency in the field
of machine operations is grounded in his engineering education and practical exposure to state-of-
the-art equipment used in flour mills and wheat processing plants.

In addition to his engineering skills, Mr. Patel has significant hands-on experience in the flour milling
industry. Having worked in various capacities within the flour milling sector, he has gained a
comprehensive understanding of the challenges and opportunities in processing grains, particularly
wheat. His expertise covers the entire flour milling process—from the initial wheat cleaning and
milling stages to packaging and distribution—allowing him to optimize production and improve
operational efficiency.
Through his experience in flour milling, Mr. Patel has developed an in-depth knowledge of modern
wheat cleaning machinery and the latest advancements in technology used to enhance product
quality and efficiency. This has positioned him as a forward-thinking promoter who constantly seeks
innovative solutions to improve wheat processing.

Mr. Patel’s strong technical background, combined with his practical experience in the flour milling
industry, enables him to lead and manage projects with a focus on quality, sustainability, and
operational excellence. His hands-on approach, combined with his engineering expertise, allows him
to effectively integrate the latest machinery into his business operations, ensuring that they remain
competitive and sustainable in an ever-evolving industry.
As a promoter, Mr. Sachinkumar Patel brings a unique blend of technical knowledge, operational
experience, and a keen understanding of market demands, making him a valuable leader in the field
of agricultural machinery and wheat processing.
Business Scenario
M/s Grade Line Agro is planning to setup a project of Wheat Processing Unit . The Business firm and
its owners have the relevant expertise & experience to set up this project and make it run as a
profitable business in years to come.

As per Morgan Stanley Report, India is on track to become the world’s third largest economy by 2027,
surpassing Japan & Germany. India’s GDP could more than double from $3.5 trillion today to surpass
$7.5 trillion by 2031.
As per World Economic Forum (WEF), till 2005, 69% of India’s households were classified as “low
income. In the last 13 years, many households have become prosperous middle class. With a steady
GDP growth rate of 7.5% a year, by 2030 and 1 in 2 households will be in the high and upper-middle-
income segments – up from 1 in 4. The new middle-class households will represent an equal mix of
existing households becoming more prosperous & the creation of new households where youngsters
are more educated and better employed than their parents.
Additionaly, the rural market is now segregating itself into two cohorts – “developed rural” and the
“rest of rural India”. Incomes in developed rural areas are already on a par with small towns and
vastly higher than the rest of rural India. WEF projections suggest that developed rural India will be
home to 240 million consumers by 2030.

Manufacturing has emerged as one of the high growth sectors in India. The ‘Make in India’ program
has placed India on the world map as a manufacturing hub. Due to factors like power growth, long-
term employment prospects, and skill routes for millions of people, India has a significant potential to
engage in international markets. These value chains are well positioned to benefit from India's
advantages in terms of raw materials, industrial expertise, and entrepreneurship.

M/s Grade Line Agro will make a healthy profit for its owners and financers as well as provide a
rewarding work environment for its employees. The Business intends to achieve the Sales and Profit
Growth (in the projected financials) by (a) Capturing the Market with better offering and service (b)
financing continued growth and development of the Business.
Project Prospects
M/s Grade Line Agro is planning to setup a project of Wheat Processing Unit . The Business firm and
its owners have the relevant expertise & experience to set up this project and make it run as a
profitable business in years to come.

By focusing on its Strenghts, Customers, as well as Management Team's Core Values, M/s Grade Line
Agro will increase its sales to Rs. 108 Lacs in 7 years time, while also improving the profit margins,
cash management, and working capital.

M/s Grade Line Agro have thoroughly evaluated the prospects of setting up Wheat Processing Unit
business and the prospects look very promising. The Business firm has studied the potential market
opportunity and even on a conservative basis they expect to reach profitability in a smooth and
sustainable way. Based on market study, the firm expects to achieve the sales and cash flows as
detailed in the Projected Financials that are part of this Report. M/s Grade Line Agro wants to
become the most reliable Manufacturing business in Narsinhpura

Target Market
Sr No. Target Customer Expected Share
in Sales
1 Our initial plan is to target the customer base in our 75.00%
locality. The local customer base is large and we will
also get direct feedback from our customers

2 Simultaneously, we will also start having an online 25.00%

presence as we believe that it is very important for
future scaling of business. Online presence will help
us in generating goodwill, trust as well as demand
from other geographical locations
Our Business

Our mission at Mr. Sachin Patel’s Wheat Cleaning Plant is to revolutionize

Mission the agricultural processing industry

Our vision is to be a leading force in the agricultural industry, recognized

for transforming wheat processing through innovation and technology.
Vision We aspire to create a future where farmers thrive through access to
advanced solutions.

Innovation: We are committed to embracing cutting-edge technology

Values and continuously improving our processes to deliver the best wheat
cleaning solutions for farmers and the market.

Expected CAGR (FY 24-25 to FY 31-32) 7.9%

Total no. of employees to be engaged 5

Mr. Sachin Patel has established a prominent business in the agricultural sector, primarily focused on
providing advanced wheat cleaning solutions. His business revolves around a state-of-the-art wheat
cleaning plant that utilizes the latest technology to ensure the highest standards of quality in wheat
processing.
The core of Mr. Patel’s business is the operation of a cutting-edge wheat cleaning machine designed
to enhance the purity and quality of wheat by efficiently removing impurities, dust, and foreign
materials. This machine is equipped with the most up-to-date technological advancements, ensuring
high efficiency, minimal waste, and maximum throughput.
In addition to running the wheat cleaning plant, Mr. Patel has built a strong network of local farmers.
This group of farmers provides a steady supply of wheat, creating a reliable business ecosystem that
benefits both parties.
Key Data at a Glance
Projected Sales & Profitability
100

90

80

70

60

50

40

30

20

10

-
FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30
Revenue Income / Gross Sales EBITDA PROFIT AFTER TAX

TOL/TNW Ratio Trendline

4.50

4.00

3.50

3.00

2.50

2.00

1.50

1.00

0.50

-
FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Net Profit Margin Trendline

35.00%

30.00%

25.00%

20.00%

15.00%

10.00%

5.00%

0.00%
FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Net profit margin

CMA DATA
Projected Income Statement
Rs in Lacs
Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

INCOME
Revenue Income / Gross
Sales 1.9 61.2 67.3 74.1 81.5 89.6 98.6 108.4

EXPENSES
Purchases (Stock,
Inventory, Raw Material,
etc) 0.0 6.7 7.5 8.4 9.0 9.4 9.8 10.4
Changes in Inventory
(Refer Annexure 2) - - - - - - - -
Rent & Lease Cost 0.1 1.3 1.3 1.4 1.5 1.5 1.6 1.7
Salary & Wages 0.4 7.8 8.5 9.2 9.7 9.9 10.2 10.5
Electricity, Fuel & Water 0.0 1.4 1.6 1.8 1.9 1.9 2.0 2.1
Transportation 0.0 10.6 11.8 13.1 14.1 14.6 15.1 16.2
Phone, Postage & Internet 0.0 0.2 0.2 0.2 0.2 0.2 0.2 0.2
Advertising & Marketing 0.0 0.1 0.1 0.2 0.2 0.2 0.2 0.2
Repair & Maintenance 0.0 0.1 0.2 0.2 0.2 0.3 0.3 0.3
Insurance expenses 0.0 0.2 0.2 0.2 0.2 0.2 0.2 0.2
Consumables, Spares, etc 0.0 1.4 1.6 1.8 1.8 1.9 2.0 2.1
Other Expenses 0.1 12.0 13.4 14.9 16.0 16.6 17.5 18.1

EBITDA 1.2 19.5 20.9 22.7 26.8 32.9 39.5 46.6

Depreciation &
Amortisation 0.4 4.4 3.8 3.2 2.7 2.3 2.0 1.7

EBIT 0.8 15.1 17.2 19.5 24.0 30.6 37.5 44.9

Interest Expense 0.2 2.5 2.0 1.5 0.9 0.3 0.0 0.0

Profit Before Tax 0.6 12.6 15.1 18.0 23.1 30.3 37.5 44.9

Tax Expense - 2.0 2.8 3.7 5.3 7.5 9.8 12.1

PROFIT AFTER TAX 0.6 10.6 12.4 14.3 17.8 22.8 27.8 32.8
CMA DATA
Projected Balance Sheet
Rs in Lacs
Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32
SOURCES OF FUNDS

A. Own Funds

Initial Capital Invested /

Opening Capital Balance 5.4 6.0 26.0 37.3 50.2 65.8 85.2 108.0
Additional Capital added - - - - (0.0) - - -
Profit (+) or Loss (-) from
current P&L A/c 0.6 10.6 12.4 14.3 17.8 22.8 27.8 32.8
Subsidy Received - 10.0 - - - - - -
Less: Drawings / Dividend (0.1) (0.7) (1.0) (1.5) (2.2) (3.3) (5.0) (7.5)
Total Own Funds 6.0 26.0 37.3 50.2 65.8 85.2 108.0 133.4

B. Long Term Liabilities

Term Loan from Bank 24.8 20.8 16.3 11.2 5.7 0.0 0.0 0.0
Loan from Friends &
Family - - - - - - - -

C. Current Liabilities
Working Capital Loan - - - - - - - -
Interest Payable 0.2 0.2 0.2 0.1 0.1 0.0 0.0 0.0
Provision for Taxation - 2.0 2.8 3.7 5.3 7.5 9.8 12.1
Sundry Creditors 0.0 0.6 0.6 0.5 0.4 0.4 0.3 0.3

Other Current Liabilities &

Provisions 0.4 2.9 2.6 2.1 1.9 1.6 1.6 1.5

Total Sources of Funds 31.5 52.4 59.7 67.9 79.1 94.7 119.8 147.2

Rs in Lacs
Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32
APPLICATION OF FUNDS

A. Non Current Assets

Fixed Assets
Gross Block 30.0 30.0 30.0 30.0 30.0 30.0 30.0 30.0
Additions during the year - - - - - - - -
Depreciation till Date 0.4 4.8 8.6 11.8 14.5 16.9 18.8 20.5
Net Block 29.6 25.2 21.4 18.2 15.5 13.2 11.2 9.5

B. Current Assets
Cash & Bank Balance 1.5 23.8 33.8 44.2 56.4 72.2 96.8 123.7
Trade Receivables - - - - - - - -
Raw Material Stock - - - - - - - -
WIP Stock - - - - - - - -
Finished Goods / Stock In
Trade - - - - - - - -

Advance Tax - 1.8 2.5 3.3 4.7 6.7 8.8 10.9

Other Current Assets 0.3 1.6 2.0 2.2 2.5 2.6 3.0 3.1

Total Application of
Funds 31.5 52.4 59.7 67.9 79.1 94.7 119.8 147.2
CMA DATA
Cash Flow Statement
Remaining Rs in Lacs
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

A. Cash Flow from Operating Activities

Net Profit After Tax 0.6 10.6 12.4 14.3 17.8 22.8 27.8 32.8
Add: Interest Expense 0.2 2.5 2.0 1.5 0.9 0.3 0.0 0.0
Add: Depreciation 0.4 4.4 3.8 3.2 2.7 2.3 2.0 1.7
Operating Profit before
Working Capital Changes 1.2 17.5 18.2 19.0 21.5 25.4 29.7 34.5
(Increase)/Decrease in
Current Assets (other than
Cash) (0.3) (3.1) (1.1) (1.0) (1.8) (2.1) (2.4) (2.2)
Increase/(Decrease) in
Current Liabilities (other
than WC loan) 0.7 5.0 0.4 0.3 1.2 1.9 2.2 2.1
1.6 19.5 17.5 18.4 20.9 25.2 29.6 34.4

B. Cash Flow from Financing Activities

Interest Expense (0.2) (2.5) (2.0) (1.5) (0.9) (0.3) (0.0) (0.0)
Term Loan Taken/ (Repaid) 24.8 (4.0) (4.5) (5.0) (5.6) (5.7) 0.0 0.0

Working Capital Loan

Taken / (Repaid) - - - - - - - -
Loan from Friends & Family - - - - - - - -
Capital Introduced /
(Drawings) 5.4 (0.7) (1.0) (1.5) (2.2) (3.3) (5.0) (7.5)
Subsidy Received - 10.0 - - - - - -
30.0 2.8 (7.5) (8.0) (8.7) (9.3) (5.0) (7.5)

C. Cash Flow from Investing Activities

Purchase of Fixed Assets (30.0) - - - - - - -

Total Cash Inflow/ /

(Outflow) (A+B+C) 1.5 22.3 10.0 10.4 12.1 15.9 24.6 26.9
Add Opening Cash Balance - 1.5 23.8 33.8 44.2 56.4 72.2 96.8
Closing Cash Balance 1.5 23.8 33.8 44.2 56.4 72.2 96.8 123.7
CMA DATA
Key Ratios & Feasibility

Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32
Long-term Solvency Ratios
Debt Equity Ratio 4.14 0.80 0.44 0.22 0.09 0.00 0.00 0.00
Debt Ratio 0.79 0.40 0.27 0.17 0.07 0.00 0.00 0.00
TOL/TNW 4.26 1.02 0.60 0.35 0.20 0.11 0.11 0.10
Interest Coverage 5.55 7.90 10.39 15.08 28.48 106.40 #######################
Debt Service Coverage
Ratio (DSCR - Working
Below) 5.55 2.69 2.79 2.92 3.30 4.25 - -

Short-term Solvency Ratios

Current Ratio 2.71 4.80 6.28 7.73 8.36 8.60 9.26 9.96
Quick Ratio or Liquid Ratio 2.24 4.20 5.55 6.88 7.40 7.61 8.25 8.95
Cash Ratio 2.24 4.20 5.55 6.88 7.40 7.61 8.25 8.95

Profitability Ratios
Gross Profit Margin 93.8% 61.1% 60.4% 59.9% 61.2% 63.4% 65.4% 66.7%
EBIDTA Margin 64.7% 31.9% 31.1% 30.7% 32.8% 36.7% 40.1% 43.0%
Net Profit Margin 33.2% 17.4% 18.4% 19.3% 21.9% 25.4% 28.2% 30.3%
Return on Assets (other
than cash) 2.1% 37.2% 47.8% 60.5% 78.4% 101.1% 120.9% 139.8%

Growth Ratios (Annualised)

Sales/ Revenue Growth
(Annualised) 270.3% 110.0% 110.0% 110.0% 110.0% 110.0% 110.0%
EBIDTA Growth 133.2% 107.2% 108.4% 117.8% 122.9% 120.1% 117.9%

Activity Ratios (on closing value)

Debtors Turnover (days) - - - - - - - -
Sundry Creditors (days) 15.00 30.42 27.38 21.29 15.21 15.21 12.17 9.13
Inventory Turnover (days)* - - - - - - - -
Other Current Assets
(days) 15.00 16.73 18.40 18.40 20.24 20.24 22.27 22.27
Other Current Liabilities
(days) 21.00 30.42 24.33 18.25 15.21 12.17 12.17 10.65
Fixed Assets to Turnover
Ratio 0.06 2.43 3.14 4.07 5.27 6.81 8.82 11.41

*Closing Inventory value considered

CMA DATA
Maximum Permissible Bank Finance (MPBF) Calculation

Remaining Rs in Lacs
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32
Total Current Assets (A) 1.8 27.2 38.3 49.7 63.6 81.6 108.6 137.7
Total Current Liabilities
(other than Bank
Borrowing) (B) 0.2 2.7 3.5 4.3 5.7 7.9 10.1 12.3

Working Capital Gap

(C=A-B) 1.6 24.4 34.8 45.4 57.9 73.7 98.5 125.4

1st Method of Lending

Minimum Stipulated Net
Working Capital (D=25% of
C) 0.4 6.1 8.7 11.3 14.5 18.4 24.6 31.3

MPBF 1st method (C-D) 1.2 18.3 26.1 34.0 43.4 55.3 73.9 94.0

2nd Method of Lending

Minimum Stipulated Net
Working Capital (E=25% of
A) 0.5 6.8 9.6 12.4 15.9 20.4 27.1 34.4

MPBF 2nd method (C-E) 1.2 17.6 25.2 33.0 42.0 53.3 71.4 91.0

Percentage of Sales method

Gross Revenue / Sales 1.9 61.2 67.3 74.1 81.5 89.6 98.6 108.4
MPBF - 25% of Sales 0.5 15.3 16.8 18.5 20.4 22.4 24.6 27.1

Actual Working Capital

Loan O/s - - - - - - - -
DSCR Calculation
Remaining Rs in Lacs
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

PAT + Depreciation +
Interest 1.2 17.5 18.2 19.0 21.5 25.4 29.7 34.5

Interest payment 0.2 2.5 2.0 1.5 0.9 0.3 0.0 0.0
Principal Repayment of
Term Loan - 4.0 4.5 5.0 5.6 5.7 -0.0 -0.0
Principal Repayment of
Working Capital Limit - - - - - - - -
Total Repayment during
the year 0.2 6.5 6.5 6.5 6.5 6.0 - -

DSCR 5.55 2.69 2.79 2.92 3.30 4.25 - -

Average DSCR (Term Loan + Working Capital Loan) 3.19

Average DSCR (Term Loan only) 3.19

Term Loan Repayment Schedule
Term Loan Amount ₹ 2,459,475
Loan O/s after Moratorium Period ₹ 2,481,508
Monthly EMI Amount ₹ 54,333

Year Interest Charged Total Payment to Principal Repaid Closing Loan O/s
Bank
FY 24-25 22,033 - - 2,481,508
FY 25-26 247,203 651,995 404,793 2,076,715
FY 26-27 201,478 651,995 450,517 1,626,198
FY 27-28 150,589 651,995 501,407 1,124,792
FY 28-29 93,951 651,995 558,044 566,747
FY 29-30 30,915 597,663 566,747 0
FY 30-31 0 - -0 0
FY 31-32 0 - -0 0
724,137 3,205,644 2,481,508

Detailed Month wise EMI Schedule is provided in Annexure 1

Break Even Sales
The term “break-even sales” refers to the sales value at which a company earns no profit no loss. In
other words, the break-even sales are the amount of revenue that precisely covers the fixed expenses
and the variable expenses of a business

Remaining Rs in Lacs
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Revenue Income / Gross

Sales (A) 1.9 61.2 67.3 74.1 81.5 89.6 98.6 108.4
Variable Costs 0.1 23.8 26.7 29.7 31.6 32.8 34.1 36.1
Gross Profit (B) 1.8 37.4 40.7 44.4 49.8 56.8 64.4 72.3

Other Costs 0.5 17.9 19.7 21.7 23.1 23.9 24.9 25.7
Depreciation 0.4 4.4 3.8 3.2 2.7 2.3 2.0 1.7
Interest Cost 0.2 2.5 2.0 1.5 0.9 0.3 0.0 0.0
Total Fixed Cost (C) 1.1 24.8 25.5 26.4 26.7 26.5 26.9 27.4

Break Even Sales

(A*C)/B 1.2 40.6 42.2 44.0 43.7 41.9 41.2 41.1
Working Capital Cycle
The Working Capital Cycle for a business is the length of time it takes to convert the total net working
capital (current assets less current liabilities) into cash

Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Inventory Days - - - - - - - -
Trade Receivable Days - - - - - - - -
Other Current Asset Days 15.0 16.7 18.4 18.4 20.2 20.2 22.3 22.3
Total (A) 15.0 16.7 18.4 18.4 20.2 20.2 22.3 22.3

Trade Payable Days 15.0 30.4 27.4 21.3 15.2 15.2 12.2 9.1
Other Current Liabilities Days 21.0 30.4 24.3 18.3 15.2 12.2 12.2 10.6
Total (B) 36.0 60.8 51.7 39.5 30.4 27.4 24.3 19.8

Working Capital Cycle

Days (A-B) -21.0 -44.1 -33.3 -21.1 -10.2 -7.1 -2.1 2.5

An increasing trend in working capital cycle is assumed for future growth in sales and increase in
profitability. M/s Grade Line Agro plans to increase its Sales growth by offering better credit terms to
buyers as well as stock more inventory. On other hand by paying of its creditors and payables faster,
it is expected that better pricing and discount will be available which will help in improving profit
margins.

Stock / Inventory Details

Below is a list of stock items that is estimated to be used monthly for business

Description Unit Category Qty reqd per Rate / Unit Monthly Purchases
month

#VALUE!

#VALUE!

#VALUE!
SWOT Analysis
The Business Owners have done indepth brainstorming for the business firm, M/s Grade Line Agro ,
for starting business of Wheat Processing Unit . Below is a SWOT analysis that is prepared mainly to
analyze our business advantage and define the weaknesses that we have to address & improve upon.
Further, we have also identifed the opportunities that we can take advantage of & detected potential
risks that we have to avoid.

Advanced Technology: The use of the latest

wheat cleaning machinery gives a
competitive edge, ensuring efficient and Initial Capital Investment: The cost of
high-quality processing. acquiring and maintaining state-of-the-art
Quality Assurance: The plant’s focus on machinery can be high, and this might put a
STRENGTHS
providing clean, high-quality wheat WEAKNESSSES
strain on initial cash flows.
enhances the product's value and appeal in Dependence on Farmers: The business
the market. model relies heavily on the local farmer
Strong Farmer Network: A reliable group of network for raw materials, making it
local farmers ensures a consistent supply of vulnerable to disruptions in supply or
raw wheat, fostering long-term changes in farming practices.
relationships and reducing supply chain Maintenance Costs: While advanced
risks. technology improves efficiency, it may
Sustainability: The adoption of sustainable require costly maintenance and specialized
practices reduces waste and makes the expertise.
Expandingenvironmentally
business Product Offerings: The company
friendly, which is arket ompetition: ther usinesses ay
could explore feature
offering for
additional services, Limited Market
adopt similar Reach: or
technologies Currently, the
expand their
an attractive both consumers business may be focused on a local or
suchregulatory
and as packaging,
bodies. storing, or even services, creating competition and potentially
processing and otherKnowledge:
grains, to diversify its regional market,
driving prices down. limiting its ability to
Expertise Mr. Patel’s compete on a national or global scale.
revenue
experience streams.
and expertise in the agricultural Economic Instability: Changes in the
Export help
sector Potential:
OPPORTUNITIES With high-quality
in effective products
plant management economic
THREATS climate, such as inflation, changes
and athe reliable supply ofchain,
cultivation there
strong is an
industry in agricultural policy, or global economic
opportunity to expand into international
relationships. downturns, could impact both the cost of raw
markets and reach a wider customer base. materials and consumer demand.
Technological Advancements: Continually Climate Change and Crop Failures: Adverse
updating machinery and improving weather conditions, such as droughts or
processes could enhance productivity, floods, could impact the supply of wheat
reduce operational costs, and provide a from farmers, affecting the ability to meet
further competitive advantage. production demands.
Government Support: Potential government Regulatory Changes: New regulations in the
initiatives or grants aimed at supporting the agricultural or food processing industry could
agricultural industry or sustainable increase operational costs or create
businesses could offer financial support or additional hurdles for the business.
incentives. Supply Chain Disruptions: Any disruption in
Growing Demand for Quality Wheat: With the supply chain, whether due to logistics,
increasing consumer demand for high- transportation issues, or other unforeseen
OUR
qualityACTION PLAN
food products, there is an events, could impact the timely delivery of
opportunity to position the business as a raw wheat or finished products.
To Overcome
premium Weakness
supplier in the wheat market.

1. Funding requirement is planned to be met by taking proposed loan.

2. Also, in initial phase we plan to invest a portion of our earnings back into business. This investment will go
into creating brand awareness and hiring quality staff.

To Overcome Threats

1. We have studied the existing competition and have identified potential gaps. We plan to cater to this
unserved market first & gradually build our reputation.
2. We plan to incentivise staff to encourage them to perform their best.
Depreciation Schedule
Rs in Lacs
Remaining
Current Year Projection Years --->
Asset Head FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32
Land - Depreciation Rate 0%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Building, Shed, Interior Work - Depreciation Rate 10%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Machinery & Equipments - Depreciation Rate 15%
Opening WDV - 29.6 25.2 21.4 18.2 15.5 13.2 11.2
Additions 30.0 - - - - - - -
Depreciation 0.4 4.4 3.8 3.2 2.7 2.3 2.0 1.7
Closing WDV 29.6 25.2 21.4 18.2 15.5 13.2 11.2 9.5
Computers, Printers, Servers, etc- Depreciation Rate 40%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Furniture, Fittings, Racks- Depreciation Rate 10%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Electrification & Backup- Depreciation Rate 10%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Installation charge, Shipping, etc- Depreciation Rate 15%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Vehicle for Business use- Depreciation Rate 15%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Software, Website, App Development - Depreciation Rate 40 %
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Livestock, Farm Animals, Etc - Depreciation Rate 15 %
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -
Other Capital Expenditure- Depreciation Rate 15%
Opening WDV - - - - - - - -
Additions - - - - - - - -
Depreciation - - - - - - - -
Closing WDV - - - - - - - -

Total Fixed Assets

Opening WDV - 29.6 25.2 21.4 18.2 15.5 13.2 11.2
Additions 30.0 - - - - - - -
Depreciation 0.4 4.4 3.8 3.2 2.7 2.3 2.0 1.7
Closing WDV 29.6 25.2 21.4 18.2 15.5 13.2 11.2 9.5
Sensitivity Analysis
Scenario 1
Decrease in Sales/Revenue by 10%

Rs in Lacs
Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Revenue Income / Gross

Sales 1.7 55.1 60.6 66.6 73.3 80.6 88.7 97.6

EBITDA 1.0 13.4 14.2 15.3 18.6 23.9 29.6 35.7

EBIT 0.7 9.0 10.4 12.1 15.9 21.6 27.7 34.1
Profit Before Tax 0.4 6.5 8.4 10.6 14.9 21.3 27.7 34.1

Scenario 2
Increase in Variable Cost 7%

Rs in Lacs
Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Revenue Income / Gross

Sales 1.9 61.2 67.3 74.1 81.5 89.6 98.6 108.4

EBITDA 1.2 17.9 19.1 20.6 24.5 30.6 37.1 44.1

EBIT 0.8 13.4 15.3 17.4 21.8 28.3 35.1 42.4
Profit Before Tax 0.6 10.9 13.3 15.9 20.9 28.0 35.1 42.4

Scenario 3
Increase in Fixed Cost (other than
Depreciation) 5%

Rs in Lacs
Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Revenue Income / Gross

Sales 1.9 61.2 67.3 74.1 81.5 89.6 98.6 108.4

EBITDA 1.19 18.63 19.96 21.62 25.60 31.70 38.26 45.30

EBIT 0.82 14.19 16.18 18.41 22.87 29.38 36.29 43.63
Profit Before Tax 0.6 11.7 14.2 16.9 21.9 29.1 36.3 43.6
Assumptions Used
Apart from the assumptions & methodology stated elsewhere in the report, below are the main assumptions
considered in preparation of this project report

Operational Capacity
It is assumed that post investment of loan funds into business, the business would reach its optimum capacity
in the following manner.

Current Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

Operational & Sales

Capacity of Business 4% 85% 90% 95% 97% 97% 97% 100%

Estimated Sales

Over the years the Daily sales are estimated at an trend as shown below. The trend in sales is mainly after
considering change in operational capacity, and it is assumed that after our product/service is established in
the market, we will be able to command premium due to Business Goodwill

Name of your Product or Service Wheat Clening Sevice

Current Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

Estimated Daily Sales 6,290 16,767 18,444 20,288 22,317 24,549 27,004 29,704

Estimated Expenses
Based on the working experience and market study, the Promoters have assumed that at 100% operational
capacity, following expenses would be incurred

Particulars Monthly Cost at current prices Expense Nature Assumed

Purchases (Stock, packing material, etc) 62,540 Variable
Rent & Lease Cost 10,000 Fixed
Salary & Wages 65,000 Semi Variable
Electricity, Fuel & Water 12,541 Variable
Transportation 98,546 Variable
Phone, Postage & Internet 1,201 Fixed
Advertising & Marketing 999 Fixed
Repair & Maintenance 1,580 Fixed
Insurance expenses 1,220 Fixed
Consumables, Spares, etc 12,510 Variable
Other Expenses 105,475 Fixed

Total ₹ 371,612

Current Year Period

For the Current Period, the projections worked out are for the balance period of 1 month(s)
Assumptions Used
Adjustment for Inflation
In Sales & Expenses, both, nominal adjustment for price increase due to inflation is made

Other Income (available Cash & Bank Balance)

We have not considered effect of any additional non-operating income (like interest, dividend, scrap sale,
etc) in the financial projections as we wanted to show the Businesses loan repayment capacity purely from
the core business activities only.

Line of Business & Taxation

The financial projections are purely made considering the entity will continue to operate in the same line of
business and effect of addition of any other product / service line is not considered. The income tax is
calculated assuming that the business profits are the only source of income for the entity

Business Team
The Company plans to hire 5 employees. Later as the business expands the entity will increase its employee
strength for which increase in salary expenenses is considered in financial projections.

Designation Employee Count Avg Monthly Pay per

Count

Manager 1 25,000
Worker 5 8,000
Conclusion
M/s Grade Line Agro setting and expanding business in Narsinhpura will allow the firm to offer their products
and services to more people who need it. As per the financial projections, it is expected that the Business
will comfortabiliy reach below state at the end of 7 years

Gross Profit Margin 67%

Net Profit Margin 30%

M/s Grade Line Agro , to conclude wants to run the business of Wheat Processing Unit as a going concern for
years and years. The Business Entity has already made lot of efforts in reviweing the technical viability of the
business, as well as making the financial projections. The entity will make continous efforts in running a
profitable & growing business. Thus with your financial help, we can postively impact the community by
providing better products & services as well as create more employment opportunites to the locals

END OF REPORT
Contact Person Sachinkumar Prakashbhai Patel
Contact Number 9574005605
Annexure 1
Monthly EMI Schedule
Month Opening O/s Interest Paid EMI Principal Paid Balance O/s
Mar-25 2,459,475 22,033 - - 2,481,508
Apr-25 2,481,508 22,230 54,333 32,103 2,449,405
May-25 2,449,405 21,943 54,333 32,390 2,417,015
Jun-25 2,417,015 21,652 54,333 32,681 2,384,334
Jul-25 2,384,334 21,360 54,333 32,973 2,351,361
Aug-25 2,351,361 21,064 54,333 33,269 2,318,092
Sep-25 2,318,092 20,766 54,333 33,567 2,284,525
Oct-25 2,284,525 20,466 54,333 33,867 2,250,658
Nov-25 2,250,658 20,162 54,333 34,171 2,216,487
Dec-25 2,216,487 19,856 54,333 34,477 2,182,010
Jan-26 2,182,010 19,547 54,333 34,786 2,147,224
Feb-26 2,147,224 19,236 54,333 35,097 2,112,127
Mar-26 2,112,127 18,921 54,333 35,412 2,076,715
Apr-26 2,076,715 18,604 54,333 35,729 2,040,986
May-26 2,040,986 18,284 54,333 36,049 2,004,937
Jun-26 2,004,937 17,961 54,333 36,372 1,968,565
Jul-26 1,968,565 17,635 54,333 36,698 1,931,867
Aug-26 1,931,867 17,306 54,333 37,027 1,894,841
Sep-26 1,894,841 16,975 54,333 37,358 1,857,482
Oct-26 1,857,482 16,640 54,333 37,693 1,819,789
Nov-26 1,819,789 16,302 54,333 38,031 1,781,758
Dec-26 1,781,758 15,962 54,333 38,371 1,743,387
Jan-27 1,743,387 15,618 54,333 38,715 1,704,672
Feb-27 1,704,672 15,271 54,333 39,062 1,665,610
Mar-27 1,665,610 14,921 54,333 39,412 1,626,198
Apr-27 1,626,198 14,568 54,333 39,765 1,586,433
May-27 1,586,433 14,212 54,333 40,121 1,546,312
Jun-27 1,546,312 13,852 54,333 40,481 1,505,832
Jul-27 1,505,832 13,490 54,333 40,843 1,464,988
Aug-27 1,464,988 13,124 54,333 41,209 1,423,779
Sep-27 1,423,779 12,755 54,333 41,578 1,382,201
Oct-27 1,382,201 12,382 54,333 41,951 1,340,250
Nov-27 1,340,250 12,006 54,333 42,327 1,297,924
Dec-27 1,297,924 11,627 54,333 42,706 1,255,218
Jan-28 1,255,218 11,245 54,333 43,088 1,212,130
Feb-28 1,212,130 10,859 54,333 43,474 1,168,655
Mar-28 1,168,655 10,469 54,333 43,864 1,124,792
Apr-28 1,124,792 10,076 54,333 44,257 1,080,535
May-28 1,080,535 9,680 54,333 44,653 1,035,882
Jun-28 1,035,882 9,280 54,333 45,053 990,829
Jul-28 990,829 8,876 54,333 45,457 945,372
Aug-28 945,372 8,469 54,333 45,864 899,508
Sep-28 899,508 8,058 54,333 46,275 853,233
Oct-28 853,233 7,644 54,333 46,689 806,544
Nov-28 806,544 7,225 54,333 47,108 759,436
Dec-28 759,436 6,803 54,333 47,530 711,906
Jan-29 711,906 6,377 54,333 47,955 663,951
Feb-29 663,951 5,948 54,333 48,385 615,566
Mar-29 615,566 5,514 54,333 48,819 566,747
Apr-29 566,747 5,077 54,333 49,256 517,491
May-29 517,491 4,636 54,333 49,697 467,794
Jun-29 467,794 4,191 54,333 50,142 417,652
Jul-29 417,652 3,741 54,333 50,591 367,060
Aug-29 367,060 3,288 54,333 51,045 316,016
Sep-29 316,016 2,831 54,333 51,502 264,514
Oct-29 264,514 2,370 54,333 51,963 212,550
Nov-29 212,550 1,904 54,333 52,429 160,121
Dec-29 160,121 1,434 54,333 52,899 107,223
Jan-30 107,223 961 54,333 53,372 53,851
Feb-30 53,851 482 54,333 53,851 0
Mar-30 0 0 - (0) 0
Apr-30 0 0 - (0) 0
May-30 0 0 - (0) 0
Jun-30 0 0 - (0) 0
Jul-30 0 0 - (0) 0
Aug-30 0 0 - (0) 0
Sep-30 0 0 - (0) 0
Oct-30 0 0 - (0) 0
Nov-30 0 0 - (0) 0
Dec-30 0 0 - (0) 0
Jan-31 0 0 - (0) 0
Annexure 1
Monthly EMI Schedule
Month Opening O/s Interest Paid EMI Principal Paid Balance O/s
Feb-31 0 0 - (0) 0
Mar-31 0 0 - (0) 0
Apr-31 0 0 - (0) 0
May-31 0 0 - (0) 0
Jun-31 0 0 - (0) 0
Jul-31 0 0 - (0) 0
Aug-31 0 0 - (0) 0
Sep-31 0 0 - (0) 0
Oct-31 0 0 - (0) 0
Nov-31 0 0 - (0) 0
Dec-31 0 0 - (0) 0
Jan-32 0 0 - (0) 0
Feb-32 0 0 - (0) 0
Annexure 2
Changes in Inventory Working

Rs in Lacs
Remaining
Current Year Projection Years --->
Particulars FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 FY 29-30 FY 30-31 FY 31-32

Opening Inventory
Raw Material - - - - - - - -
Work in Process - - - - - - - -
Finished Goods - - - - - - - -
Total Opening Inventory (A) - - - - - - - -

Closing Inventory
Raw Material - - - - - - - -
Work in Process - - - - - - - -
Finished Goods - - - - - - - -
Total Closing Inventory (B) - - - - - - - -

Changes in Inventory (A-B) - - - - - - - -

Suggestions to Improve your Project Report
Not part of Project Report

Please Check for the below points

Your Average DSCR Ratio should not be very low (<1.5) nor very high (>5). If your DSCR value is not in this
range, then please click below link to know how to improve your DSCR

[Link]

Your Working Capital Loan Limit should not be more than permissible limit (MPBF), If yes, then kindly reduce
the loan limit to met the requirement. Refer MPBF calculation sheet to check the permissible limit

Also, your working capital loan value should not be in excess than required. Check the cash balance in the
Balance Sheet, it should not be more than 50% of the working capital loan. This would mean that your
working capital loan amount is lying idle in cash and not used for business. Try to keep the working capital
loan not more than twice the monthly expenses amount

Try to maintain your GP Ratio or EBITDA margin within acceptable limits of your industry average. You can
change the ratio by changing the Sales Values - Edit Sales using Sales and Operational Capacity

Finally, every Bank has its own criteria to approve loan. You can always change and download a revised
report multiple times on our website for 21 days after payment

You can refer our complete step by step guide on specific Loan Schemes & Project Reports:

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